Oil Prices Spike As Israel-Hamas Conflict Escalates

Oil prices jumped over 4% as the conflict between Israel and Hamas entered its third day. Brent hit $88.41 a barrel while WTI rose to $88.67.

The attack came after Hamas launched an infiltration into Israel by land, sea and air. At least 700 Israelis have been killed so far.

Analysts believe the price jump is a knee-jerk reaction and likely temporary unless supply is impacted.

The conflict could potentially spread and involve Iran, which could lead to supply issues. Lebanese group Hezbollah is also being monitored.

If the U.S. imposes sanctions on Iran, oil prices could spike further, perhaps by $5-10 per barrel according to analysts.